FAC Explorer

Audit 14486

FY End
2023-06-30
Total Expended
$19.39M
Findings
6
Programs
11
Organization: D'arbonne Woods Charter School, Inc. (LA)
Year: 2023 Accepted: 2024-01-30
Auditor: Woodard & Associates (apac)

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
10817 2023-002 - - L
10818 2023-002 - - L
10819 2023-002 - - L
587259 2023-002 - - L
587260 2023-002 - - L
587261 2023-002 - - L

Programs

ALN Program Spent Major Findings
10.780 Community Facilities Loans and Grants $16.39M Yes 0
84.027 Special Education_grants to States $232,185 - 0
10.555 National School Lunch Program $184,189 - 0
84.425 Covid-19 Education Stabilization Fund $129,391 Yes 1
84.367 Improving Teacher Quality State Grants $71,136 - 0
10.553 School Breakfast Program $68,788 - 0
84.358 Rural Education $25,838 - 0
84.424 Student Support and Academic Enrichment Program $25,586 - 0
10.555 Covid-19 National School Lunch Program $23,988 - 0
10.565 Commodity Supplemental Food Program $14,023 - 0
84.010 Title I Grants to Local Educational Agencies $5,236 - 0

Contacts

Name Title Type
R8PNRT69Z5E9 Jan Coleman Auditee
3183688051 Lori Woodard Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes all Federal grant activity of D’Arbonne Woods Charter School, Inc. (the School) for the year ended June 30, 2023 and is presented on the accrual basis of accounting. The accrual basis of accounting recognizes revenues when they are earned and expenses when they are incurred. De Minimis Rate Used: N Rate Explanation: The School elected not to use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards includes all Federal grant activity of D’Arbonne Woods Charter School, Inc. (the School) for the year ended June 30, 2023 and is presented on the accrual basis of accounting. The accrual basis of accounting recognizes revenues when they are earned and expenses when they are incurred.
Title: Reconciliation of Expenditure of U.S. Department of Agriculture Funds Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes all Federal grant activity of D’Arbonne Woods Charter School, Inc. (the School) for the year ended June 30, 2023 and is presented on the accrual basis of accounting. The accrual basis of accounting recognizes revenues when they are earned and expenses when they are incurred. De Minimis Rate Used: N Rate Explanation: The School elected not to use the de minimis cost rate. The OMB Compliance Supplement requires the balance at July 1, 2022 of the USDA Community Facilities Loans and Grants program be given as expenditures on the Schedule of Expenditures of Federal Awards while the Statements of Financial Positions at June 30, 2023 shows the year-end balance. See the Notes to the SEFA for chart/table
Title: Indirect Cost Rate Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes all Federal grant activity of D’Arbonne Woods Charter School, Inc. (the School) for the year ended June 30, 2023 and is presented on the accrual basis of accounting. The accrual basis of accounting recognizes revenues when they are earned and expenses when they are incurred. De Minimis Rate Used: N Rate Explanation: The School elected not to use the de minimis cost rate. The School did not elect to use the 10% de minimis indirect cost rate for the year ended June 30, 2023.

Finding Details

Finding 2023-002
Federal Program, Assistance Listing Number and Year, Federal Agency, Passthrough Entity COVID-19 Education Stabilization Fund, Assistance Listing Number 84.425D, 84.425U, 2023, U.S. Department of Education, Louisiana Department of Education Criteria According to the Code of Federal Regulations Title 2 Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F – Audit Requirements, it is the auditee’s responsibility to prepare appropriate financial statements, including the Schedule of Expenditures of Federal Awards. The schedules should be complete and accurate. Conditions The revenue and receivables for the Education Stabilization Fund on the general ledger were overstated by about $689,000; about 35% of the SEFA amount. The SEFA was overstated by the same amount. The reimbursement requests for the Education Stabilization Fund were not submitted in a timely manner. Of the seven reimbursement requests, two were submitted six to eight months after the expenses were incurred. Cause The funding agency defined the Education Stabilization Fund as a continuing grant, not differentiating between grant years, resulting in the School recording reimbursements as revenue when received rather than year specific based upon expenditures. As a result, the current year included revenue from another fiscal year. There was no breakdown in the internal controls, rather confusion on the proper accounting since the funding agency does not differentiate between funding years. Effect The School is not in compliance with the auditee responsibilities per the Uniform Guidance.
Finding 2023-002
Federal Program, Assistance Listing Number and Year, Federal Agency, Passthrough Entity COVID-19 Education Stabilization Fund, Assistance Listing Number 84.425D, 84.425U, 2023, U.S. Department of Education, Louisiana Department of Education Criteria According to the Code of Federal Regulations Title 2 Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F – Audit Requirements, it is the auditee’s responsibility to prepare appropriate financial statements, including the Schedule of Expenditures of Federal Awards. The schedules should be complete and accurate. Conditions The revenue and receivables for the Education Stabilization Fund on the general ledger were overstated by about $689,000; about 35% of the SEFA amount. The SEFA was overstated by the same amount. The reimbursement requests for the Education Stabilization Fund were not submitted in a timely manner. Of the seven reimbursement requests, two were submitted six to eight months after the expenses were incurred. Cause The funding agency defined the Education Stabilization Fund as a continuing grant, not differentiating between grant years, resulting in the School recording reimbursements as revenue when received rather than year specific based upon expenditures. As a result, the current year included revenue from another fiscal year. There was no breakdown in the internal controls, rather confusion on the proper accounting since the funding agency does not differentiate between funding years. Effect The School is not in compliance with the auditee responsibilities per the Uniform Guidance.
Finding 2023-002
Federal Program, Assistance Listing Number and Year, Federal Agency, Passthrough Entity COVID-19 Education Stabilization Fund, Assistance Listing Number 84.425D, 84.425U, 2023, U.S. Department of Education, Louisiana Department of Education Criteria According to the Code of Federal Regulations Title 2 Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F – Audit Requirements, it is the auditee’s responsibility to prepare appropriate financial statements, including the Schedule of Expenditures of Federal Awards. The schedules should be complete and accurate. Conditions The revenue and receivables for the Education Stabilization Fund on the general ledger were overstated by about $689,000; about 35% of the SEFA amount. The SEFA was overstated by the same amount. The reimbursement requests for the Education Stabilization Fund were not submitted in a timely manner. Of the seven reimbursement requests, two were submitted six to eight months after the expenses were incurred. Cause The funding agency defined the Education Stabilization Fund as a continuing grant, not differentiating between grant years, resulting in the School recording reimbursements as revenue when received rather than year specific based upon expenditures. As a result, the current year included revenue from another fiscal year. There was no breakdown in the internal controls, rather confusion on the proper accounting since the funding agency does not differentiate between funding years. Effect The School is not in compliance with the auditee responsibilities per the Uniform Guidance.
Finding 2023-002
Federal Program, Assistance Listing Number and Year, Federal Agency, Passthrough Entity COVID-19 Education Stabilization Fund, Assistance Listing Number 84.425D, 84.425U, 2023, U.S. Department of Education, Louisiana Department of Education Criteria According to the Code of Federal Regulations Title 2 Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F – Audit Requirements, it is the auditee’s responsibility to prepare appropriate financial statements, including the Schedule of Expenditures of Federal Awards. The schedules should be complete and accurate. Conditions The revenue and receivables for the Education Stabilization Fund on the general ledger were overstated by about $689,000; about 35% of the SEFA amount. The SEFA was overstated by the same amount. The reimbursement requests for the Education Stabilization Fund were not submitted in a timely manner. Of the seven reimbursement requests, two were submitted six to eight months after the expenses were incurred. Cause The funding agency defined the Education Stabilization Fund as a continuing grant, not differentiating between grant years, resulting in the School recording reimbursements as revenue when received rather than year specific based upon expenditures. As a result, the current year included revenue from another fiscal year. There was no breakdown in the internal controls, rather confusion on the proper accounting since the funding agency does not differentiate between funding years. Effect The School is not in compliance with the auditee responsibilities per the Uniform Guidance.
Finding 2023-002
Federal Program, Assistance Listing Number and Year, Federal Agency, Passthrough Entity COVID-19 Education Stabilization Fund, Assistance Listing Number 84.425D, 84.425U, 2023, U.S. Department of Education, Louisiana Department of Education Criteria According to the Code of Federal Regulations Title 2 Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F – Audit Requirements, it is the auditee’s responsibility to prepare appropriate financial statements, including the Schedule of Expenditures of Federal Awards. The schedules should be complete and accurate. Conditions The revenue and receivables for the Education Stabilization Fund on the general ledger were overstated by about $689,000; about 35% of the SEFA amount. The SEFA was overstated by the same amount. The reimbursement requests for the Education Stabilization Fund were not submitted in a timely manner. Of the seven reimbursement requests, two were submitted six to eight months after the expenses were incurred. Cause The funding agency defined the Education Stabilization Fund as a continuing grant, not differentiating between grant years, resulting in the School recording reimbursements as revenue when received rather than year specific based upon expenditures. As a result, the current year included revenue from another fiscal year. There was no breakdown in the internal controls, rather confusion on the proper accounting since the funding agency does not differentiate between funding years. Effect The School is not in compliance with the auditee responsibilities per the Uniform Guidance.
Finding 2023-002
Federal Program, Assistance Listing Number and Year, Federal Agency, Passthrough Entity COVID-19 Education Stabilization Fund, Assistance Listing Number 84.425D, 84.425U, 2023, U.S. Department of Education, Louisiana Department of Education Criteria According to the Code of Federal Regulations Title 2 Grants and Agreements Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F – Audit Requirements, it is the auditee’s responsibility to prepare appropriate financial statements, including the Schedule of Expenditures of Federal Awards. The schedules should be complete and accurate. Conditions The revenue and receivables for the Education Stabilization Fund on the general ledger were overstated by about $689,000; about 35% of the SEFA amount. The SEFA was overstated by the same amount. The reimbursement requests for the Education Stabilization Fund were not submitted in a timely manner. Of the seven reimbursement requests, two were submitted six to eight months after the expenses were incurred. Cause The funding agency defined the Education Stabilization Fund as a continuing grant, not differentiating between grant years, resulting in the School recording reimbursements as revenue when received rather than year specific based upon expenditures. As a result, the current year included revenue from another fiscal year. There was no breakdown in the internal controls, rather confusion on the proper accounting since the funding agency does not differentiate between funding years. Effect The School is not in compliance with the auditee responsibilities per the Uniform Guidance.